Gold Technical Precious Metals (2011-11-08)

By IBT Staff Reporter On 11/08/11 AT 2:07 AM

Morning Report

After testing levels near the bottom of the long term-multi-week- ascending channel , the shiny metal rallied to currently trade near the top of the channel , where stochastic could be topping within overbought area . Although the overall trend remains bullish, we expect a downside pullback from levels near 1800.00.

The trading range for the day is among the key support at 1725.00 and key resistance now at 1830.00.

The short-term trend is to the upside targeting 1945.00 as far as areas of 1475.00 remain intact.

Previous Report

Weekly Report

Support

1780.00

1770.00

1760.00

1750.00

1730.00

Resistance

1800.00

1815.00

1825.00

1843.00

1860.00

Recommendation

Based on the charts and explanations above, we recommend selling gold around 1800.00, targeting 1765.00 and 1725.00, stop loss with four-hour closing above 1830.00 might be appropriate.